Budget Cutting Trims Tax Hike

July 30, 1987|By JEAN DUBAIL, Staff Writer

Palm Beach County Commissioners on Wednesday put the finishing touches on a proposed budget that increases next year`s taxes a minimum of 3.6 percent -- about one-third of the increase originally proposed by the county staff.

Commissioners struggled to trim the tax hike even further during the last of their budget-review sessions.

But after two hours of verbal brawling, they agreed that further spending cuts cannot be made without curtailing services that county residents themselves have demanded.

Making such cuts, which would only have to be restored next year, would be irresponsible, Commissioner Carol Roberts said.

``I think we`d be playing a shell game with the public and trying to fool them,`` she said. ``We cannot afford to do that.``

The proposed tax increase is 3.6 percent for residents of cities that do not take part in the county`s library system. Residents of unincorporated areas face a stiffer increase -- 9.8 percent -- to help pay for the library program and for improved fire protection.

The budget, which goes to public hearings in September, calls for about $920 million in spending -- about $22 million more than this year`s budget.

Nearly all of the increase would go to three areas: $12.6 million to hire additional sheriff`s employees, $11.2 million for road programs and $10.3 million for library construction.

The library program is paid for with a special two-year tax levy, which was approved by voters in November. According to a survey conducted for county officials, law enforcement and road construction rank high on voters` list of concerns.

Because those programs would require a budget increase of $34.1 million, commissioners trimmed elsewhere to reach the $22 million figure.

The cuts included delaying or eliminating spending for library services, park expansion, low-income housing, communications and the purchase of land near Palm Beach International Airport for future county buildings.

Going into Wednesday`s meeting, commissioners had trimmed $11.5 million from County Administrator Jan Winters` original $933 million proposal. They were left with a tax rate increase of 62 cents for each $1,000 of assessed valuation.

Commissioner Ken Adams, who is out of the country, left word with Winters that he favored reducing the rate even further, 50 cents for each $1,000.

Adams did not say why he chose that figure, nor what he would cut to meet it, Winters said. Budget chief Dave Wood calculated that reaching Adams` goal would require trimming another $4.6 million from the proposed budget.

But after a two-hour debate, embittered by Wilken`s repeated interruptions of her colleagues, commissioners failed to find a package on which all four could agree.

Wilken suggested delays in spending on road construction or in contributions to Delray Beach`s beach restoration fund and the pool for a performing arts center.

But Marcus, Roberts and county staff argued that the county is legally or morally committed to spend that money.

``If you take $4 million out this year, you`re going to have to put it back next year,`` Marcus said. ``It`s no savings.``

With tempers fraying and lunchtime nearing, Elmquist asked, ``Is there some special magic`` to the 50-cent-per $1,000 tax rate?

No one knew of any. So when Marcus asked how much extra taxpayers would save with the 50-cent goal -- just $6 a year, Wood answered -- commissioners settled for $1 million in cuts that saved $1.20 in taxes.

TAX CHANGES

Proposed county property tax rate, based on a house assessed at $75,000 minus the $25,000 homestead exemption and no increase in assessment.

-- A homeowner living in a municipality will pay $239.31 next year, an increase of 3.6 percent over present tax rate. Original proposal called for an 11.3 percent increase.

-- A homeowner living in an unincorporated area will pay $373.67 next year, an increase of 9.8 percent over the present tax rate. Original proposal would have raised the tax rate 14.8 percent. Reason for higher taxes in unincorporated area is payments for library and fire-rescue services.